What is a Business Improvement District?

A Business Improvement District (BID) is a geographical area where local stakeholders fund and oversee services in their district to address neighborhood needs. BIDs provide supplemental services such as cleaning and greening of streets, business development, and public programming.

Since its inception over twenty years ago, the City’s BID program has contributed over $930 million in supplemental services to invigorate our neighborhoods. The 76 BIDs in New York City are as diverse as the neighborhoods they serve. The BID model allows local stakeholders to define what services the neighborhood needs, and how best to share the costs. Across New York City, individual BIDs produce an iftar during Ramadan to celebrate Yemeni merchants (5th Ave BID, Bay Ridge), train young entrepreneurs in public housing (Myrtle Ave Brooklyn Partnership), pick up litter in public plazas (Flatiron), organize and run Open Streets (Park Slope-5th Ave), and maintain public parks (Union Square Partnership). This hyperlocal model of community service is well-suited to Gowanus, which has a mix of 19th-century homes, public housing, industrial uses, and soon-to-be-developed lots, each with its own unique relationship to the historic canal.

How is a BID formed and where are we in the process?

A BID is formed in coordination with the Department of Small Business Services (SBS) through a specified process. First, from 2021-2024, the Steering Committee gathered community feedback through a Needs Assessment Survey, and developed proposed services, budget, boundary and assessment structure. Now, in the outreach phase, we are collecting ballots. Once indicators of support set by SBS have been met, the proposal will go into a legislative process.

How are the votes counted?

All ballots are counted. SBS looks to see 51% (or more) yes ballots from property owners and commercial tenants within the BID boundary, and from a majority of the assessed value of properties. They also want to see support from residential tenants within the boundary, which are tallied as broad-based support (ballots from outside the boundary are also counted here).

Who will be in charge of the Gowanus BID?

The BID will be an independent non-profit organization governed by a Board of Directors who are representative of neighborhood stakeholders and elected annually by property owners and tenants in the district. Each year, the Board approves the budget, assessment and services.

How will the BID services be funded?

Through an annual special assessment paid by property owners. The assessment was designed to promote equity and preserve neighborhood character. Expenses for maintenance of waterfront esplanades will be paid exclusively by waterfront properties. The BID will also be eligible for additional funding through grants, sponsorships, and earned income.

Is the BID replacing the work of the City? Don’t my taxes already cover these services?

BIDs provide supplemental services to City departments, like the Parks Department. The Gowanus BID will be able to provide a level of service beyond what the City has resources to perform. Though the City has committed to plant new street trees and build 10-acres of new public space in Gowanus, without the BID, they will not be clean, thriving and accessible.